Do your marketing practices comply with the federal Junk Fax Prevention Act of 2005? The act, signed into law on July 9, 2005, governs all facsimile communications that contain an advertisement. Under the law, real estate professionals can only send faxes containing an advertising that meet certain criteria. Take this quiz to find out if you know all the rules for sending faxes to prospects, customers, and clients.

1.

A brokerage is planning to send faxes to promote its real estate brokerage services. The brokerage will only send faxes to fax numbers it can obtain from a public source. On each fax, the brokerage will include a toll-free number that recipients can call to opt out of receiving future faxes from the brokerage. Because the brokerage provides an opt-out mechanism and obtains its fax numbers from a public source, its practices are legal.

True
False

2.

A salesperson must obtain written permission from all clients before sending them advertising faxes (e.g., faxes that promote an upcoming open house).

True
False

3.

The established business relationship exception to the federal faxing rules only lasts for 18 months following a transaction and three months following an inquiry.

True
False

4.

Electronic advertising faxes that I receive on my computer through a computer modem are still covered by the federal fax laws.

True
False

5.

The only way to stop “junk faxes” is to call the number on the bottom of the fax.

True
False

6 .

A toll-free number on the bottom of an advertising fax meets the “cost-free opt-out mechanism” required on unsolicited advertising faxes.

True
False

7 .

I participate in a multiple listing service, so I have an established business relationship with other participants; that allows me to send faxes of all my new listings to all other MLS participants.

True
False

8 .

I can fax new listings to a client who has listed his property with me at the fax number contained on the business card he gave to me.

True
False

9 .

All faxes must contain the sender’s name or the name of the entity on behalf of whom the fax is being sent.

True
False

10.

Federal fax laws preempt my state's fax laws, so I only need to comply with the federal law.